Question

Describe each of the three attributes of the transnational HRM system.

Answer 1

A transnational HRM system needs to inculcate a culture of harmony, high degree of tolerance and sensitivity for other cultures, uniformity of strategic objectives through integration of a variety of thought processes coming from different geographies and leveraging the attributes of of global workforce for creating workplace synergy with an ultimate objective to create value for the organisation.

The three attrbutes that define transnational HRM are given below.

(a) Transnational scope - It indicates that the HRM decisions should be taken with global perspective rather than focusing on the local issues and interests. In other words, the company should take into consideration, the interests, needs and opinions of all employees spread across different geographies.

(b) Transnational representation - It focuses on composition of the HR team which should represent employees from all countries it operates in, in balanced proportion.

(c) Transnational processes - It refers to the inclusion of ideas from different perspectives, coming from different parts of the world in which the organisation operates, in formation of organisation's policies. The transnational processes involve inclusion of multicultural understanding in defining HRM policies and practices, rather than forcing the culturally diverse ideas to fit in the domestic framework.